Aberdeen, Huron ethanol plants sold to Glacial Lakes Energy

Erin Ballard

Advanced BioEnergy has announced the sale of its Aberdeen and Huron ethanol plants to Watertown-based Glacial Lakes Energy for $47.5 million.

The agreement was signed Aug. 1, and the transfer is expected to happen in the third calendar quarter of the year, according to a news release from Advanced BioEnergy.

The Aberdeen plant is at 38469 133rd St. on the western edge of town. That is also County Road 12W.

The sale needs to be approved by shareholders. If it is, Advanced BioEnergy will be liquidated and the proceeds will be distributed to shareholders after paying off outstanding debt and transaction- and liquidation-related expenses, according to the release.

The sale will also include the value of Advanced BioEnergy’s inventory at the time of closing.

Advanced BioEnergy announced Feb. 26 that it had begun exploring strategic alternatives for its business operations, including the possibility of a sale.

The sale will generate the best value for shareholders, and will position the plants for continued long-term success in their communities, according to the release.

The facilities in Aberdeen and Huron have a combined ethanol production capacity of 86 million gallons per year. Together, they employ about 50 workers.

Glacial Lakes Energy, an ethanol production company formed in May 2001, is a subsidiary of Glacial Lakes Corn Processors, a cooperative of over 4,000 shareholders, most of whom are in South Dakota, according to the release.

Glacial Lakes Energy and its sister subsidiary own and operate two ethanol production facilities in Watertown and Mina, with a combined production of 255 million gallons per year, according to the release.